Broadcom Sees 24% Revenue Growth; AI Chip Sales to Hit $100B by 2027
Broadcom’s fiscal 2025 net revenue rose 24% to $63.8 billion and diluted EPS climbed 40% to $6.82, though shares dipped nearly 3%. The company expects AI chip revenue to reach $100 billion by 2027, while TSMC’s 2025 revenue jumped 35.9% to $122.42 billion with EPS up 46.4%.
1. Broadcom’s AI Processor Partnerships
Broadcom has collaborated with Google on its Tensor Processing Unit across seven generations and entered a multiyear agreement with OpenAI to develop 10 gigawatts of custom AI accelerators, positioning it as a key supplier of specialized AI hardware.
2. Fiscal 2025 Financial Performance
For fiscal 2025, Broadcom reported net revenue of $63.8 billion, a 24% year-over-year increase, and diluted earnings per share of $6.82, up 40%, although the stock fell nearly 3% following the earnings release.
3. TSMC’s Foundry Market Leadership
Taiwan Semiconductor Manufacturing commanded a 72% share of the global pure-play foundry market in 2025, with revenue up 35.9% to $122.42 billion and diluted EPS rising 46.4%, underscoring its dominance in chip production.
4. Implications for Investors
Both companies hold Buy ratings on Wall Street, but TSMC’s end-to-end foundry capabilities across major chip designers may offer a competitive edge over Broadcom’s design-centric business model.